America does not need the I phone or Apple! A surge in recent exports before the tariffs took effect have masked the dire situation China faces if a solution is not reached soon. Unfortunately, China has no intention of bending or admitting their path is unsustainable. Do not expect China to cave they see the American consumer unable to handle pain.

We must now watch the action of China's government and what is happening to the Chinese currency in order to understand the impact China is about to exert on markets across the globe. The article below delves into how the fact that the PBOC is already scurrying about in an attempt to mitigate damage flowing from the hard talk being mouthed by the Trump administration is proof of China's vulnerabilities.

By focusing on economics and "abstracting" China's leaders', and their many domestic followers', avowed socio-political objectives, this author, and his publishers, follows in the path of too many well-intended fools who ignored Hitler and his corporate enablers on their way to the Anschluss (read Taiwan), occupation of neighbouring countries (read Silk Road Project) and concentration camps (read Muslin re-education/-elimination camps).

I am sure anyone of the millions of displaced Syrians would be overwhelmed if they were to be given the opportunity to be fed, housed and trained for productive work by the Chinese Government taking over the refugee camps in the Middle East. Their children could become useful members of society instead of being trained by Saudi funded maddrassas to be radical. Imagine if in Germany during the rise of the Nazis that the Reichstad opened retraining camps and stopped the Nazis from radicalizing their followers. Teaching them that the Jewish people are not sub-human and prevented the Second World War from ever happening. Then giving them training in a trade or profession and integrating them into a civil society where everyone with socially positive aspirations is accepted and those with socially destructive aims are interned and retrained. Surely you have never been to MODERN China. If You had you would not even consider writing this ignorant response to a well thought out attempt to inject some balance into this debate on The USA relationship with the 1.4 billion Chinese and 56 minority’s groups whose vast majority live in peace and harmony in a economy growing at 6%. Unlike our current American Federation where the vast majority of Americans barely make ends meet and rely on foreigners to buy the fed bonds that keeps the economy from crashing into a depression.

I beg to differ, the fact is many people overlook how China treats its millions of citizens that do not make an effort to march in step. The ruling Communist Party has built "re-education camps" in an attempt to bring these people into the “modern, civilized” world promote what the government calls “ethnic unity” but in simpler terms the apparent goal is to force detainees to embrace the Chinese communist party and an effort to fully control the hearts and minds of its population. Much of this is aimed at the ethnic minorities of Uighurs in the western region of Xinjiang. For more on this subject see the article below!

This is "globalist nonsense." China's only present-day advantage is that it can order its population to live in a particular place and to do a particular job for whatever the government chooses to pay them. (And to utterly ignore environmental damage and worker safety.) As John Ruskin observed, "those who consider price alone are that man's lawful prey."

Per contra, the system that will actually work is – "<my_country> first!"

No, I'm quite serious. This is what will always work best.

Support your country's ability to produce, and protect it from competition that would drive it into a race to the bottom. Likewise, don't permit "cheap labor" from other countries to put your own citizens on unemployment. Build a redundant, therefore resilient economic system in your own country which purposely puts your own country first. Then, expect every other country on Earth to be doing the same.

Henry Ford observed that his own workers had to make enough money to be able to afford one of the cars that they were making. The money paid-out by Ford as wages WAS the money that came back in as sales. If you chase "lower prices" halfway around the planet, the money never returns.

Bilateral trade statistics about the eastern front is probably the most significant factor indicating any continuing economic activity keeping the boat, for especially low and middle-income families, afloat, while guerilla warfare commences on land.

While the perspective is on the minimal life support indicators of any real economic activities, the monetization of monetization games is creeping stealthfully, with not much of a fan fare. The guerrillas are sneaking in through all kinds of holes while nobody is looking.

It sure looks to me like there is a bit of infighting for the spoils “fees” from HFT, etal. of any still solvent 401k and pension funds

This is all true. But I don't think the Trump administration's negotiators expect to give up access to low cost imports, although they may expect to have replacements available from third countries. Whether this is realistic or not, we may be forced find out.

The possibility of global US based corp's losing sales within China may be a more interesting factor. How significant are the $$ flows for those cases? It could get confusing (for example, GM-China using revenue from Chinese sales to pay for parts produced in China, that are shipped to GM-US, which effectively gets to import them at a favorable price (thus showing up at a low level in non-NAFTA value) ... ). How the accounting works for this, and how it would be impacted by reduced China sales ... big mystery to me. Very curious.

Also, is the Trump admin. offering these businesses anything to make up for difficulties they may face? Perhaps in the rules of the new NAFTA?

We also shouldn't ignore non-trade motivations, i.e. strategic rivalry. For parts of the US government, those motivations take precedence, firmly.

The trade war has nothing to do with trade. China has made its intention to challenge the US clear. Having lived through one cold war and it attendant risks the US would rather not trade with their next rival who will try to destroy them. DT may state it is for trade but the rest of America supports it because China is behaving like the USSR did in the not so distant past.

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